Open for Business: 10 Things in the First 30 Days
As I crossed the parking lot at the end of that day, I offered a quick wave and a curt “See Ya” toward my former employer’s office building. It was August 25th, 2006, the last day I let a single entity control my income and future. Dan Miller would have been proud.
I spent the following Monday visiting the accountant, the bank, and the attorney. By the end of the day the wheels were in motion of what is Red Bit Blue Bit, LLC. The first two weeks I spent making phone calls, working on a small project and getting things going. Thirty days later I had a full time consulting role.
Taking a tip from web designer Cameron Moll, I thought I would summarize what I learned in the first 30 days of my new venture.
Here are 10 things I learned in the first 30 days. The list, of course, starts with 0 – I am a programmer, after all:
0. Start Early. While I officially started at the end of August, the decision to go independent had started much earlier. I originally began a new job search in January, but as I interviewed, I came to the conclusion I did not want to work for any company as a full-time employee. With that understanding, I absorbed everything I could – blogs, books, and podcasts – on startups and entrepreneurship. By the time I handed in my resignation, I had a life plan and a basic business plan ready. I had also been interviewing, so I was in contact with a number of recruiters who helped get my name out to their clients.
1. No, Start Earlier. There are some things I should have started much earlier. Business cards, a website – pretty much anything marketing-related. I think it helps to have something to give potential clients. Without it I found it hard to make calls because I had nothing to send the client as a follow up.
2. Have your finances in order. One consistent piece of advice from the self-employed crowd is to have a financial plan. Most have suggested a six month buffer in savings when starting a new venture. With no car payments or credit card debt, my wife and I were able to stockpile funds in excess of this. Since she also works, the financial strain was one of our least concerns.
3. It’s all about the networking. As I mentioned, my name was out and active in the consulting arena which made it much easier to land something within three weeks of starting. I’ve also hit up friends and family for contacts they know, some of which may have potential. The hardest part about networking has been getting back into contact with people I haven’t spoken to in years. I hate the thought of sounding like a tool when I call – “Hey, I know we haven’t spoken, but I’m looking for your business”. I guess I just need to get over that, though, as everyone I’ve contacted has been glad to hear from me more than anything else.
4. Get good advice. As I mentioned, I spent the first day getting legal and financial advice. I could have filed all of the paperwork myself, but both my accountant and attorney gave me advice I would not have considered on my own. I just got the bill from my attorney. While it was expensive, I felt my money was well spent.
5. Be Responsive. My wife has a rule for handling voice mail and email messages. If the message is urgent, it should be handled by the end of the current day. If its not urgent, it should be followed up within one business day. Steve Friedl sums it up as: “For a good consultant, your voice is comforting: Be very easy to find.” Unfortunately, I was on the receiving end of this one. My attorney’s lack of response was extremely frustrating when a deadline on a contract negotiation loomed. It cost me three days of work and almost the whole 6-month gig. I learned how important follow up can be.
6. Calling is hard. I hate telephones. I’m not entirely sure why, but part of it is that I find it hard to hear on the phone (speaker phone is better, but it doesn’t give people a warm feeling). Another reason is that when I’m on the phone, I feel like a third grader trying to explain particle physics with a mouthful of taffy. I’m just not coherent when unscripted. I’m going to steal another of my wife’s ideas and script my phone conversation as best I can before making calls.
7. Be Organized. This might seem silly, especially when there aren’t many papers or files on hand, but getting organized has been a great help. I’ve been a pseudo-follower of David Allen’s Getting Things Done for some time, so this wasn’t that hard. Besides, I got to use the label maker. A lot. On the computer, I organized my code and business files, too. Nothing beats being able to locate a document with no effort.
8. Watch your spending. One late night at Walmart, I found myself having a mental feud with myself over a box of manila file folders. I wasn’t completely out, but was getting close, so I thought I should buy them before I needed them. I ended up not buying them that day. Was it really a big deal? No, but that mentality is what is saving me money on business expenses. When you work for someone else, you don’t think about the cost of file folders. As an entrepreneur, I see every decision in the context of my cash flow. For example, with software, I use Gimp and Visual Web Developer Express for now. They’re free and have all the features I need immediately. Photoshop and Visual Studio will pay for themselves when I have bigger gigs.
9. Continue Networking Looking at six months before the next open bit of time can seem like distant in the future. I see feeding the pipeline while working full time will be a challenge. I am, after all, lead developer and salesman. Keeping in touch with clients is vital to future success. I need to remember that having work that’s “almost for sure” is the same as having no work. A signed contract is the only work that counts.
There are a number of simultaneously moving pieces in the first month of a new company. I’ve managed them pretty well, I think. The big details have been resolved, and now I can look toward the future. From my vantage point, I gotta wear shades.
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